Dear MNA Members and Friends: The U.S. Supreme Court recently issued a decision in Citizens United v. Federal Election Commission (decided January 21, 2010), that has confused some writers who are not as familiar with the important legal distinctions between different types of “nonprofits” that exist or with the differences between federal election laws that the Court changed and tax laws that the Court did not change.

 
Therefore, to make sure nonprofits here in Montana are aware of their full legal rights – and limitations – when it comes to participating in elections, the Montana Nonprofit Association (MNA) is attaching for your review a brief analysis that the National Council of Nonprofits prepared to help 501(c)(3) nonprofits avoid taking actions that could jeopardize their tax-exempt status.

MNA and the National Council of Nonprofits (to which members of MNA belong through your membership with us) share the concern that nonprofit leaders need to know not only what 501(c)(3) nonprofits cannot do, but also what we can do. That is why the brief analysis answers these questions:

• How does the recent Supreme Court case impact nonprofits?
• What can 501(c)(3) charitable nonprofits do in connection with political campaigns?
• What else can charitable nonprofits do?

For those who want to know more in general, the brief analysis provides several good references.

For those who want to know even more about the effect of the Supreme Court’s decision on 501(c)(3) nonprofits, the Alliance for Justice has published a solid overview.

Brian Magee
MNA Executive Director